Taxing Energy Use 2018 Italy

Transcription

1 Italy 1 Taxing Energy Use 218 Italy This note describes the taxation of energy use in Italy. It contains the country s energy tax profiles, followed by country-specific information to complement the general discussion in Taxing Energy Use 218 (OECD, 218). The note contains four energy tax profiles for Italy: Figure 1: Effective tax rates on energy use in EUR/GJ, 215, including electricity output taxes and energy use from biomass Figure 2: Effective tax rates on energy use in EUR/tCO 2, 215, including electricity output taxes and energy use from biomass Figure 3: Effective tax rates on energy use in EUR/tCO 2, 215, excluding taxes on electricity output, including carbon emissions from biomass Figure 4: Effective tax rates on energy in EUR/tCO 2, 215, excluding taxes on electricity output and carbon emissions from biomass The main insights from the second vintage of the Taxing Energy Use database, including a systematic comparison of patterns of the taxation of energy use across countries, sectors and fuels are available in Taxing Energy Use 218 (OECD, 218) at: TAXING ENERGY USE 218 OECD 218

2 2 Italy 1. Energy tax profiles for Italy Figure 1. Effective tax rates on energy use in EUR/GJ, 215, including electricity output taxes and energy use from biomass ROAD INDUSTRY RESIDENTIAL & COMMERCIAL ELECTRICITY Gasoline Diesel Biofuels, natural gas and LPG (predominantly) (predominantly) Biomass, renewables and waste OFF-ROAD AGRICULTURE & FISHING Tax Fuel tax credit or tax expenditure Tax rate EUR per GJ Tax rate EUR per GJ Energy use in TJ TAXING ENERGY USE 218 OECD 218

3 Italy 3 Figure 2. Effective tax rates on energy use in EUR/tCO 2, 215, including electricity output taxes and carbon emissions from biomass Tax Fuel tax credit or tax expenditure 35 ROAD INDUSTRY RESIDENTIAL & COMMERCIAL ELECTRICITY Gasoline Diesel Biofuels, natural gas and LPG (predominantly) (predominantly) Biomass, renewables and waste OFF-ROAD AGRICULTURE & FISHING Carbon emissions from energy use in 1 tco2 1 5 TAXING ENERGY USE 218 OECD 218

4 4 Italy Figure 3. Effective tax rates on energy use in EUR/tCO 2, 215, excluding taxes on electricity output, including carbon emissions from biomass Tax Fuel tax credit or tax expenditure 35 ROAD INDUSTRY RESIDENTIAL & COMMERCIAL ELECTRICITY Gasoline Diesel Biofuels, natural gas and LPG (predominantly) (predominantly) Biomass, renewables and waste OFF-ROAD AGRICULTURE & FISHING Carbon emissions from energy use in 1 tco2 1 5 TAXING ENERGY USE 218 OECD 218

5 Italy 5 Figure 4. Effective tax rates on energy use in EUR/tCO 2, 215, excluding taxes on electricity output and carbon emissions from biomass Tax Fuel tax credit or tax expenditure 4 4 ROAD INDUSTRY ELECTRICITY RESIDENTIAL & COMMERCIAL Gasoline Diesel and LPG (predominantly) Coal & coke (predominantly) Non-renewable waste OFF-ROAD AGRICULTURE & FISHING Carbon emissions from energy use in 1 tco2 1 5 TAXING ENERGY USE 218 OECD 218

6 6 Italy 2. Country-specific notes This note describes the taxation of energy use in Italy. It contains the country s energy tax profiles, accompanied by country-specific information to complement the general discussion in Taxing Energy Use 218 (OECD, 218). Tax rates are those applicable in April 215, energy use data are for 214. The data shown in the energy tax profiles is from the OECD s Taxing Energy Use (TEU) Database. More detail on the TEU Database, the calculation of effective tax rates on energy use and the interpretation of the energy tax profiles can be found in Taxing Energy Use 218 (OECD, 218). Italy participates in the European Union emissions trading system (ETS), not shown in the energy tax profiles. 1 Energy and carbon taxes Energy taxes in Italy are levied within the framework of the 23 EU Energy Tax Directive, which sets minimum rates for the taxation of energy products in member states. Within this framework, the main taxes on energy use in Italy are the following: An excise tax on energy applies to oil products, natural gas and coal and coke across all sectors. Fuels used to generate electricity are also taxed, but at much lower statutory rates. Electricity output is taxed (per MWh) except when used for transport purposes. The rates at which these taxes apply can further differ across fuels and different users, as described below. These taxes are included in the energy tax profiles of Italy, but the tax on electricity output is only included when separately indicated (see below). Where more than one tax rate applies to an energy user or fuel, the energy tax profile shows their sum. Effective tax rates on energy use for different fuels and users The tax rates on different fuels and uses are linked to Italy s energy use 2 to calculate effective tax rates on energy use (in EUR/TJ) or CO 2 emissions from energy use (in EUR/ tco 2 ). Energy use and the CO 2 emissions associated with it are shown for six economic sectors: road transport, domestic offroad transport, industry, agriculture and fishing, residential and commercial, and electricity. The Italian energy tax profiles (Figures 1 and 2) show effective tax rates for different fuels and uses in terms of the fuels energy and carbon content, respectively. Figures 1 and 2 include energy use and carbon emissions from biomass and they show output taxes on electricity. Figure 3 is identical to Figure 2, except that taxes on electricity output are excluded. Figure 4 excludes carbon emissions from biomass and taxes on electricity output. Of the six economic sectors, the road sector is taxed at the highest rates, both in terms of the fuels energy and carbon content. Within the road sector, gasoline is taxed at the highest effective tax rate, diesel is taxed at a lower rate in terms of TJ 1. The OECD s Effective Carbon Rates contains information on emissions trading systems. 2. Data on energy use is taken from the IEA s Extended World Energy Balances, see Chapter 1 of Taxing Energy Use 218 (OECD, 218) for additional detail. TAXING ENERGY USE 218 OECD 218

7 Italy 7 and in terms of CO 2. and LPG are also taxed, but at lower effective rates than gasoline and biofuels. Biofuels are taxed at the same statutory rates as their fossil fuel equivalents. Fuels used in domestic off-road transport sector are taxed, but at substantially lower effective rates than fuel use in road transport. Fuels used for rail transport are taxed at a lower statutory rate, and fuels used for domestic navigation and domestic aviation are untaxed. Fossil fuels consumed in the industry and residential and commercial sector are taxed, but at lower statutory rates than fuels used in the transport sector. The taxation of natural gas use by households in Italy is differentiated by consumption level, and households in Southern Italy pay reduced rates. This is reflected in the Taxing Energy Use data, in that unweighted averages of tax rates on natural gas by consumption brackets have been calculated for Northern and Central, and Southern Italy. Based on data provided for previous Taxing Energy Use publications, the reduced rates in Southern Italy are included as applying to 14% of total natural gas use. Fossil fuels consumed in agriculture and fishing are taxed, although gasoline, diesel and LPG use is taxed at lower effective and statutory rates when used for agriculture and fishing purposes. Diesel, LPG, fuel oil, natural gas and coal and coke products used to generate electricity are taxed at very low statutory and effective rates, and electricity output is taxed (per MWh). The statutory rate paid on electricity output for business purposes is lower than electricity consumed by households. Reported tax expenditures and rebates The following tax expenditures are included in the Taxing Energy Use data for Italy: Fuels used for domestic navigation and aviation are untaxed. A partial tax reduction is applied to diesel used for domestic railways, as well as to diesel, gasoline and LPG used in activities related to agriculture, horticulture, forestry and aquaculture activities. Reported tax expenditures or rebates might be averaged with tax rates on other energy uses, in which cases they are not visibly identifiable in the graphical profile. Additional detail on the treatment of tax expenditures is available in Chapter 1 of Taxing Energy Use 218. Due to a lack of detailed data on the amounts of energy use and carbon emissions associated, the following tax expenditures have not been included in the Taxing Energy Use data: Firms with a natural gas consumption exceeding 1.2 million cubic meters per year can claim a 6% reduction on the excise tax paid. Certain industrial and off-road transportation users can claim a 9% tax reduction on the consumption of LPG. TAXING ENERGY USE 218 OECD 218

8 8 Italy Sources The main insights from the second vintage of the Taxing Energy Use database are analysed in: OECD (218), Taxing Energy Use 218 Companion to the Taxing Energy Use Database, OECD Publishing, Paris. Apart from the sources included in Taxing Energy Use 218 (OECD, 218), and consultation with national delegates, the following country-specific source was used: Italian Customs Department (215), Aliquote di imposta vigenti nel settore delle accise, zionali+aggiornamento+al+1+gennaio+215.pdf/919f7b8-985a-4837-be-ac9fdbbc77e. TAXING ENERGY USE 218 OECD 218